South Africa Inflation Rate Down To 6-Month Low


Consumer prices in South Africa increased 6.1 percent year-on-year in March of 2017, lower than a 6.3 percent rise in February and below market expectations of 6.3 percent. It is the lowest inflation rate in six months due to a slowdown in food inflation.

Year-on-year, prices rose at a slower pace for food and non-alcoholic beverages (8.7 percent from 9.9 percent in February); clothing and footwear (4.5 percent from 4.8 percent) and restaurants and hotels (6.1 percent from 6.4 percent). In contrast, inflation was steady for recreation and culture (3.7 percent) and accelerated for housing and utilities (5.7 percent from 5.6 percent); miscellaneous goods and services (7.5 percent from 7.4 percent); transport (7.7 percent from 7.2 percent); alcoholic beverages and tobacco (3.2 percent from 2.8 percent) and education (7 percent from 4.6 percent).

Annual core inflation which excludes cost of food, non-alcoholic beverages, petrol and energy fell to 4.9 percent from 5.2 percent. It is the lowest rate since January of 2013.

On a monthly basis, consumer prices rose 0.6 percent, below 1.1 percent in February and boosted by cost of housing and utilities (0.9 percent); education (7 percent); food and non-alcoholic beverages (0.5 percent) and alcoholic beverages and tobacco (1.7 percent).

Statistics South Africa | Joana Taborda | joana.taborda@tradingeconomics.com
4/19/2017 8:25:49 AM